Paycom Software (PAYC) Q1 Earnings and Revenues Top Estimates

Core Insights - Paycom Software (PAYC) reported quarterly earnings of $2.80 per share, exceeding the Zacks Consensus Estimate of $2.60 per share, and showing an increase from $2.59 per share a year ago, resulting in an earnings surprise of 7.69% [1] - The company achieved revenues of $530.5 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 0.92% and up from $499.88 million year-over-year [2] - Paycom has consistently outperformed consensus EPS and revenue estimates over the last four quarters [2] Earnings Outlook - The sustainability of Paycom's stock price movement will largely depend on management's commentary during the earnings call and future earnings expectations [3][4] - The current consensus EPS estimate for the upcoming quarter is $1.79 on revenues of $473.32 million, and for the current fiscal year, it is $8.72 on revenues of $2.03 billion [7] Industry Context - The Internet - Software industry, to which Paycom belongs, is currently ranked in the top 37% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact Paycom's stock performance [5][6]